Frontline Ltd (FRO.OL) Q2 2024 Earnings Report

Previous: Q1 2024 Next: Q3 2024

Frontline Ltd

FRO.OL

Kr.235.80 0.13%

Exchange: OSL | Sector: Energy | Industry: Oil Gas Midstream

Q2 2024

Published: Sep 27, 2024

Earnings Highlights

Revenue of $556.03M up 8.4% year-over-year
EPS of $0.84 decreased by 19.2% from previous year
Gross margin of 39.0%
Net income of 187.57M
"We are witnessing a rebound in crude oil transportation needs, signaling a robust recovery for our fleet." - CEO

FRO.OL

Frontline Ltd

Period Q2 2024

Currency USD

Report Type Quarterly Earnings

Generated Dec 8, 2025

Executive Summary

Frontline Ltd reported a significant increase in revenue for Q2 2024, reaching $556 million, a 33.98% growth sequentially, driven by increased shipping demand. However, net income was $187.57 million, reflecting an 18.68% decline year-on-year amid rising operational costs and interest expenses. Management expressed optimism about future performance, citing improvements in operational efficiency and strategic cost management as key factors for sustained profitability. The company's position remains strong within the oil and gas midstream industry, presenting attractive growth prospects despite challenges.

Key Performance Indicators

Revenue

Increasing

556.03M

QoQ: 33.98% | YoY: 8.44%

Gross Profit

Decreasing

217.00M

39.03% margin

QoQ: 42.82% | YoY: -15.00%

Operating Income

Increasing

255.92M

QoQ: 85.39% | YoY: 1.16%

Net Income

Decreasing

187.57M

QoQ: 58.46% | YoY: -18.68%

EPS

Decreasing

0.84

QoQ: 58.49% | YoY: -19.23%

Revenue Trend

Margin Analysis

Financial Highlights

Revenue increased to $556 million, up from $415 million in the previous quarter, demonstrating a QOQ growth of 33.98%, though down 8.44% year-on-year. Gross Profit stood at $217 million, with a gross margin of 39.03%, indicating improved operational efficiency versus last quarter's gross profit of $151 million (margin 36.6%). Operating Income rose sharply to $256 million, an increase of 85.39% QOQ, while net income reflected volatile market conditions with a year-on-year decline of 18.68% at $188 million. The current ratio at 1.38 suggests good short-term financial health, while the debt to equity ratio of 1.59 indicates the higher leverage intrinsic in the shipping sector.

Income Statement

Metric	Value	YoY Change	QoQ Change
Revenue	556.03M	8.44%	33.98%
Gross Profit	217.00M	-15.00%	42.82%
Operating Income	255.92M	1.16%	85.39%
Net Income	187.57M	-18.68%	58.46%
EPS	0.84	-19.23%	58.49%

Key Financial Ratios

Gross Profit Margin

Fair

39.00%

Gross profit margin is moderate, room for improvement in cost management

Operating Profit Margin

Excellent

46.00%

Operating margin is exceptional, indicating strong pricing power and operational efficiency

Net Profit Margin

Excellent

33.70%

Net profit margin is exceptional, indicating strong pricing power and operational efficiency

Return on Assets

Weak

2.91%

Return on assets suggests inefficient capital allocation

Return on Equity

Fair

7.73%

Return on equity is acceptable but below top-tier companies

Current Ratio

Adequate

1.38

Current ratio meets minimum requirements but limited cushion

Debt to Equity

High Risk

1.59

Debt-to-equity indicates high leverage and elevated financial risk

P/E Ratio

Value

7.41x

P/E ratio suggests potential undervaluation or stable earnings

Price to Book

Fair Value

2.29x

Price-to-book ratio reasonable for profitable companies

Historical Earnings Comparison

Period	Revenue ($M)	EPS ($)	YoY Growth	Report
Q4 2024	425.64	0.30	-26.4%	View
Q3 2024	490.32	0.27	+30.0%	View
Q2 2024	556.03	0.84	+8.4%	View
Q1 2024	578.40	0.81	+9.1%	View
Q4 2023	415.00	0.53	-16.6%	View

Frontline Ltd (FRO.OL) Q2 2024 Earnings Report

Earnings Highlights

Executive Summary

Key Performance Indicators

Revenue Trend

Margin Analysis

Financial Highlights

Income Statement

Key Financial Ratios

Management Insights Available for Members

Peer Comparison Available for Members

Investment Outlook & SWOT Available for Members

Historical Earnings Comparison

More FRO.OL Quarterly Reports

FRO.OL

FRO.OL

FRO.OL

FRO.OL

Q2 2024 Reports in Energy Sector

Related Financial Data

Sector Analysis: Energy

FRO.OL Full Profile

FRO.OL Financial Statements

Earnings Calendar